Fed Data Showed ‘Phantom Drop’ in US Bank Lending, Goldman Says
- Friday’s report showed record drop in lending in late March
- Goldman analysts highlight transfer of SVB, Signature assets
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Goldman Sachs Group Inc. analysts are playing down what appeared to be an alarming slump in US lending in the second half of March, included in data released by the Federal Reserve on Friday.
Commercial bank lending dropped nearly $105 billion in the two weeks ended March 29, the most in Fed data going back to 1973. However, the majority of that reflected a transfer of the assets of collapsed lenders Silicon Valley Bank and Signature Bank into receivership at the Federal Deposit Insurance Corp., Goldman said.